GM seeking 30% stake in Chrysler in exchange for European and Latin operations

A report by the New York Times says that GM is talking to Fiat SpA for a stake in the Italian automaker in exchange for its European and Latin American operations. GM has recently been in talks with Fiat about the sale of its German brand, Opel.

Sources familiar with the matter said that GM wants at least a 30 percent stake in Fiat’s car business. Meanwhile, Fiat CEO Sergio Marchionne said that he is willing to give up less than 10 percent. Insiders say that GM sees its Latin American business as a bargaining chip since it is a profitable division.

It has been previously reported that Marchionne is trying to merge Fiat Group Automobiles, its stake in Chrysler and General Motors Europe into a new company.

– By: Omar Rana

Source: Reuters